Question

1. Description of the economic issue(s)
2. Thoroughly describe the issue(s)
3. Find, use and document your research using 2 – 4 supporting sources to validate the issue(s)
4. Description of how the issue affects the US/World economy
              A.     Thoroughly explain how this issue is affecting the US/World economy

III. Description and explanation of the strategies used by the government(s) to manage each issue(s)

1. Thoroughly describe at least two strategies used by the government(s).
2. Explain how these strategies affect the economies/societies involved.
3. Provide strategies that you would develop and use to manage the issue(s) (Your strategies must be different than the current government’s strategies; at least in some way(s)).
4. Thoroughly explain at least two strategies that you would use to affect the issue(s).
5. Explain how these strategies would affect the issue(s).

This assignment must be typed in APA.

Answer 1

Issue 1 – expansive health care.

Description- health care services and insurance are expansive in USA. There are several reason why these are expansive and government are trying to solve these problem by their policies.

Health care policy – in 2010 government introduce Obamacare-ACA policy to fight expansive health care services and insurance. It’s required most individuals to obtain health insurance and required most employers to offer it. It provided tax credits and cost-sharing subsidies for individuals to purchase insurance in the individual market and provided for an expansion of Medicaid to cover childless adults earning incomes up to 138 percent of the poverty level. Insurers were prohibited from denying coverage to individuals with pre-existing conditions, were required to offer a standard set of benefits, and were limited in the ways they could vary their premiums.

Policy effect on economy/society - The biggest benefit of the ACA is that it slows the rise of health care costs. It does this by providing insurance for millions and making preventive care free. This means people receive treatment before they need expensive emergency room services. In 2016, the cost of health care services increased 1.2 percent for the year. That's much less than the price increase of 4 percent in 2004.

My policy/strategy on heath issue – well, Obamacare heath policy trying to reduce or stabile heath care cost. That will create more demand of heath care services and insurance. But this policy not working on supply side of heath care services and insurance. Government spending lots of money in cheap insurance but not spending enough to produce cheap doctor, nurse and medicine. I will try to invest money on health care education so heath care education become cheaper that will increase supply of healthcare services and it will also reduce the cost of health services.

Issue 2 – high rate of immigration cause high rate of unemployment and poverty in the country USA.

Description- USA is facing high rate of unemployment and poverty in the country. This is cause by serval reason. Most burning topic is high immigration legal and illegal by company is causing these problem in the country. Government is making many immigration policy to solve these problems.

Immigration policy/trump policy – trump government is making new immigration policy, which include new H-1B Visa Program, Wall on the Border with Mexico are major.

Policy effect on economy/society – biggest effect of these policy is that it will reduce legal and illegal immigration in USA. More American people will get hire by company and poverty will be decrease. But on the other side its will also reduce GDP of USA because firms production cost will become high so they will produce less, this may lead USA to a high inflation and low GDP.

My policy/strategy on heath issue – as we have seen past that when immigration was high unemployment and poverty was less than at low immigration rate. So by cutting down immigration in the country will not solve these problems.

          My strategy will be to work on inequalities in the country, as we can see that country growth rate is higher than its growth in population and immigration, but still these is unemployment and poverty, so where is extra GDP is going, I will make high taxes on firm and give people compensation of unemployment, that will distribute growth GDP equally. High Skilled immigrant helped GDP to grow faster. So I will try to make immigration policy that will reduce immigration of low skilled workers.